FG Suspends Afam, Kaduna Power Stations Privatisation

Governorship candidate of All Progressive Grand Alliance (APGA) in the last governorship election in the state, Sir Celestine Omehia (left) Rivers State Governor, Rt. Hon. Chibuike Rotimi Amaechi (middle) and Archbishop Ignatius Kattey at the thanksgiving service in honour of Nigerian Bar Association (NBA) President Okechukwu Wali (SAN) in Port Harcourt, yesterday.

The Federal Government has announced the suspension of
privatization of the Afam and Kaduna power
stations.

The Minister of State for Power, Architect Darius Dickson
Ishaku, who said this at the weekend during an inspection of the Afam Power
Plant in Oyigbo, Rivers State, however said that the suspension is indefinite.

Architect Ishaku said that government took the decision
following the non-bidding for the project by the 36 listed companies which are
currently involved in the privatization process of the power Hold Company of
Nigeria (PHCN)

He also said that the order would be lifted as soon as any
companies indicate interest to bid for the plant. The minister also said that
the government was working hard to generate enough electricity for distribution
to Nigerians.

Architect Ishaku said that his visit to the Afam power Plant
was a demonstration of the commitment by the government to ensure uninterrupted
power supply in the country.

He said that the ministry will soon launch an institute for
the training of young engineers of the Power Holding Company of Nigeria but
added that none of the new owners that may emerge at the end of the
privatization process will do away with the services of engineers working with
PHCN, as their services would be highly valuable.

The minister further said that President Goodluck Jonathan
was desirous of fulfilling his promise to Nigerians by ensuring stable power
supply, stressing that it was against this background that the president asked
him to visit Afam with a view to assessing what is on ground.

Meanwhile, the Bureau of Public Enterprises (BPE) has
postponed the opening of financial bids for the sale of electricity
distribution companies, earlier scheduled for October 10 to October 16.

A statement issued by BPE in Abuja, said the postponement
was to give bidders the required 15 working days to procure and submit their
post-qualification security.

The agency said the shift in date was necessitated by the
time lost from the postponement of the last meeting of the National Council on
Privatisation (NCP) from September 13 to September 18.

It assured stakeholders that all other dates in the timeline
for the privatisation of the successor companies of Power Holding Company of
Nigeria (PHCN) remained unchanged.

The agency reiterated that the opening of the financial bids
of investors for the five generation companies, whose technical proposals met
the requirement would take place as scheduled on Tuesday.

The statement named the three bidders shortlisted for
Ughelli Power as Feniks Electricity, Transcorp and Wood Rock/Symbion
Power/Medea/PSL/Thomasen and Amperion Power Distribution Ltd.

For Sapele Power Plc, CMEC/EURAFRIC Energy and JBN-Nestoil
Power Services were shortlisted, while Amperion Power Distribution Ltd emerged
for Geregu Power Plc.

Also Mainstream Energy Solutions was shortlisted for the
Kainji Power Plc while North-South Power was listed for Shiroro Power Plc.

On Afam Power Plc, the sixth generation company put up for
sale, the privatisation agency said no bidder was technically qualified for the
company.

Our correspondent recalls that on September 18, the NCP
approved a list of prospective investors qualified to bid for 10 electricity
distribution companies in the country.

The electricity distribution firms proposed for sale are
located in Ibadan, Ikeja, Abuja, Enugu, Jos, Eko, Port Harcourt, Yola, Kano,
Benin and Kaduna.

The NCP said Ikeja Distribution Company received the highest
number of qualified bids with eight firms.

They are: Oando Consortium, Amperion Power Distribution
Company Ltd, Honeywell Energy Resources Limited and Integrated Energy
Distribution and Marketing Company.

Others are Vigeo Holdings, Gumco, African Corporation AFC
and CESC, Kepco/NEDC Consortium, West Power and Gas; and Rockson Engineering.

The Eko Distribution Company received the second highest
number of bids with six firms showing interest.

The bidders are Oando Consortium, Integrated Energy
Distribution and Marketing Company, Sepco-Pacific Energy Consortium, Kepco/NEDC
Consortium, Honeywell Energy Resources, Limited West Power and Gas as well as
Rockson Engineering.

Three bidders shortlisted for Ibadan Distribution Company
are Western Consortium, Integrated Energy Distribution and Marketing Company
and Kepco/NEDC Consortium.

For the Abuja Distribution Firm, the NCP approved two bids,
namely, Kam Consortium Utility Company Ltd and Interstate Electrics Ltd.